Filing your Income Tax Return (ITR) as a salaried individual in India doesn’t have to be complicated or expensive. ITR-1, also known as Sahaj, is the most commonly filed return form in India, used by millions of salaried employees every year. This comprehensive guide will walk you through everything you need to know about filing ITR-1 for the assessment year 2026-27.
Who Should File ITR-1?
ITR-1 (Sahaj) is meant for resident individuals whose total income does not exceed ₹50 lakh during the financial year. You can use this form if your income sources include salary or pension income from a single employer, income from one house property (not including cases where there is a brought forward loss or loss to be carried forward), other sources of income such as interest from savings accounts, fixed deposits, and family pension, and agricultural income up to ₹5,000.
Who Cannot File ITR-1?
You should NOT use ITR-1 if you are a director of a company, have invested in unlisted equity shares during the financial year, have agricultural income exceeding ₹5,000, have income from business or profession, have capital gains from sale of shares, mutual funds, or property, are a non-resident or not ordinarily resident, own foreign assets or have foreign income, or have total income exceeding ₹50 lakh.
Documents Required for ITR-1 Filing
Before you begin filing, gather the following documents. Form 16 is the most important document provided by your employer that contains details of your salary, TDS deducted, and tax computation. Your bank statements for all savings accounts are needed to report interest income. Investment proofs are required for tax-saving instruments like PPF, ELSS, life insurance, NPS, and health insurance premiums. You’ll also need your Aadhaar card linked with PAN, PAN card, Form 26AS which is your tax credit statement showing TDS credited to your account, and Annual Information Statement (AIS) from the income tax portal.
Step-by-Step ITR-1 Filing Process
The process begins with logging into the income tax e-filing portal at incometax.gov.in using your PAN as the user ID. Navigate to the e-File section and select Income Tax Return. Select the assessment year (AY 2026-27) and choose ITR-1 as the form type. You can choose between online filing directly on the portal or offline filing by downloading the utility software.
Start by entering your personal information including name, address, date of birth, and Aadhaar number. Then enter your salary details from Form 16, including gross salary, exempt allowances like HRA, standard deduction of ₹75,000, and professional tax paid. Next, declare income from house property, if applicable, including annual value, municipal taxes paid, and the standard deduction of 30%.
Enter income from other sources such as savings bank interest, FD interest, and any other income. Claim deductions under sections 80C through 80U. Common deductions include Section 80C up to ₹1.5 lakh for investments in PPF, ELSS, life insurance, tuition fees, and home loan principal. Section 80D allows deduction for health insurance premiums up to ₹25,000 for self and family, plus ₹50,000 for parents who are senior citizens. Section 80TTA provides deduction of up to ₹10,000 on savings account interest.
After entering all details, verify the tax computation. The portal will automatically calculate your tax liability. If you have a refund due, ensure your bank account details are correctly entered. Finally, verify your return through Aadhaar OTP, which is the easiest method, or through net banking, bank ATM, or by sending a signed ITR-V to CPC Bengaluru.
Common Mistakes to Avoid
Many taxpayers make errors that lead to notices or delayed processing. Not reporting all income sources is a common mistake — the IT department can see all your transactions through AIS. Choosing the wrong ITR form can lead to your return being classified as defective. Not claiming all eligible deductions means you might be paying more tax than necessary. Filing after the due date results in late filing fees of ₹5,000 or ₹1,000 for income below ₹5 lakh. Not verifying your ITR within 30 days means your return is considered not filed.
New Tax Regime vs Old Tax Regime
From FY 2024-25 onwards, the new tax regime is the default option. Under the new regime, tax rates are lower but most deductions and exemptions are not available. The old regime allows you to claim deductions under 80C, 80D, HRA exemption, LTA, and more. Generally, if your total deductions exceed ₹3.75 lakh, the old regime might be more beneficial. Use a tax calculator or consult a CA to determine which regime saves you more tax.
Why Choose TaxHealer for ITR-1 Filing?
At TaxHealer, we offer CA-assisted ITR-1 filing starting at just ₹499 — roughly 50% cheaper than other platforms. Every return is reviewed by a certified Chartered Accountant before submission, ensuring 100% accuracy. Most returns are filed within 24 hours, and we provide post-filing support for the entire assessment year. Our team optimizes your deductions to minimize your tax liability legally.
Ready to file your ITR-1? Get started with TaxHealer today →